An Activity Base Is Used to Charge Service Department Expenses

question 9

Multiple Choice

An activity base is used to charge service department expenses. Match each of the following activity bases with the appropriate department (a-h) .
-Number of purchase requisitions

• A)Purchasing
• B)Payroll Accounting
• C)Human Resources
• D)Maintenance
• E)Information Systems
• F)Marketing
• G)President's Office
• H)Transportation

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Definitions:

Tying Contracts

Agreements where the sale of one product is conditional on the purchase of another product.

Treated

Subjected to a process or treatment, in the context of material, data, or medical treatment, with the aim of changing its properties or outcomes.

Price Discrimination

A pricing strategy where a seller charges different prices for the same product or service to different customers, based on the willingness to pay.